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what is the journal entry of outstanding wages ?
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Answer Posted / parshuram
Wages A/c XXXX Dr.
To Outstanding for Wages A/c XXX
(Being Provision for wages for the current financial year)
In this case the wages are for current year ( Financial
Year) and wages are not paid that's why we provision for
that. In next year when we going to pay that wages that
time we will debited to Outstanding for Wages A/c not to
Wages A/c.
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